The under-construction fabric park in Punnakuda in Sri Lanka’s Batticaloa District will strengthen import substitutes for the apparel industry and annually save $500 mn for the country, according to Board of Investment (BOI) Chairman Raja Edirisuriya. It is the largest development project in the Eastern Province with an investment worth SLR 5.5 bn.
Sri Lanka annually spends $6 bn on raw materials needed for textile manufacturing. With this new set up, raw materials worth $500 mn can be manufactured every year.
Four leading garment manufacturing companies are willing to invest in the fabric park, which is expected to create at least 5,000 jobs, according to Sri Lankan media reports.
In addition, the government will spend SLR 5.5 bn on developing infrastructure facilities for the project. Edirisuriya and BOI Director General Renuka M Weerakone made an inspection tour recently to the site along with a group of potential investors.
